Traditional methods of conducting financial transactions commonly consist of an exchange of currency using paper currency, checks, credit cards, and electronic transfers via a financial institution. In more recent years, an ever increasing amount of financial transactions occur electronically and do not require direct contact with a financial institution. Some transactions may be processed over computer networks, such as the Internet, while other transactions may be processed using telephone-based systems.
It is commonplace for entities to conduct an electronic payment to complete a transaction. In a typical transaction, information about each party is typically exchanged to facilitate the electronic transaction. Some of this information may be personal or private information that a person may not desire to share with a stranger. For example, a customer may have to provide her telephone number during execution of an electronic payment.
Information privacy is a large concern for many people. Often, people take measures to protect their private information to avoid identity fraud, harassment, or the like. These acts may occur when a person obtains private or personal information about another and uses it in a fraudulent or malicious act.